Sociology 323

Economy & Society

Class 4 – Economics For Everyone Part 1

Video

Banks can take money directly out of your account if there is a financial crisis

http://www.youtube.com/watch?v=0GSawPmduNYhttp://www.youtube.com/watch?v=YSX5QrQnnKw

http://www.youtube.com/watch?v=FhYwlBvAomI

http://www.globalresearch.ca/the-confiscation-of-savings-in-canada-cyprus-style-bail-ins-proposed-by-ottawa-government/5329263

http://www.budget.gc.ca/2013/doc/plan/budget2013-eng.pdf

Chapter 3 – Economic History

- Hunter Gathering - Slave Ownership- Feudalism- Capitalism- Something Else?

Chapter 3 – Economic History

Capitalism Came From- New Technology- Empire- Government- Resources

Not mentioned by Stanford- Emancipation of slavery- Emergence of cooperative labour

Capitalism created a power struggle

Chapter 3 – Economic History

Key Goals and Tools of Neoliberalism

Key Goals:

- Reduce and control inflation; protect the value of financial wealth- Restore insecurity and “discipline” to labour markets- Eliminate “entitlements”; force families to fend for themselves- Roll back and refocus government activities to meet business needs; cut

taxes- Generally restore the economic and social dominance of private business

andwealth- Claw back expectations; foster a sense of resignation to insecurity and

hardship

Key Tools:- Use interest rates aggressively to regulate inflation and control labour

markets- Privatize and deregulate more industries- Scale back social security programs (especially for working-age adults)- Deregulate labour markets (including attacks on unions)- Use free-trade agreements to expand markets and constrain governmentinterventions

Chapter 3 – Types of Capitalism

See table on page 50 of Economic for Everyone

Chapter 4 – Politics of Economics

Early History of EconomicsMercantilism

- TradePhysiocrats

- AgricultureClassical Economics

- Comparative Advantage- Free Market (invisible hand)

Marxism- Exploitation

Neoclassical Economics- Focus on Individuals not Classes- Market Equilibrium (Supply and Demand; Walrasian general equilibrium)- Mathematics- Supply Constrained

Keynes- Effective Demand/Demand Constrained

Chapter 3 – Economics and

Politics

See table on page 60 of Economics for Everyone

Chapter 4 – Economy,

Economics, Politics

Economic development has paralleled the development of the economy itself

Economics is not a pure science

Very debated topic